He Lifeng, one of President Xi Jinping’s top aides, has taken a key economic policy-making position amid a gradual transition of power from predecessor Liu He, although analysts do not expect significant near-term policy changes.
The 68-year-old, who was promoted to vice premier in March, has been confirmed as office director of the Central Financial and Economic Affairs Commission, one of the powerful party bodies led by Xi to manage the world’s second-largest party. economy.
Economic power seems to be gradually shifting from Liu to He, which makes sense given Liu’s age.
The revelation came when the official Xinhua news agency reported that he met French President Emmanuel Macron’s top diplomatic adviser Emmanuel Bonne on financial and economic issues in Beijing on Sunday.
„It looks like financial power is gradually shifting from Liu to him, which makes sense given Liu’s age,” said Brock Silvers, managing director of Kaiyuan Capital in Hong Kong.
„However, markets should not expect significant policy changes.”
Chinese officials will continue their efforts to ease the economic slowdown, he added, but „the structural reforms needed to revive real estate, escape extreme debt levels, or revive foreign investment will be beyond Liu’s reach or he does not understand.”
Despite enjoying more political power and greater market attention than government ministries, departments within the Communist Party rarely disclose their day-to-day operations or personnel arrangements.
Personnel changes continued throughout the year, unlike previous rounds that traditionally occurred in March.
Former economic czar Liu He still has a big seat at the table: sources
Former economic czar Liu He still has a big seat at the table: sources
Lan Foan was appointed finance minister last week, while Yin Hejun was appointed science and technology minister.
„Which issues should be prioritized may be a key question for top decision-makers like him,” said Zhu Jiangnan, coordinator of the Contemporary China Studies Program at the University of Hong Kong.
„Cross-departmental coordination among high-level decision-making bodies is important because many issues are at the intersection of multiple policy arenas, as China navigates current critical international relations and deals with domestic public sentiment,” he said.